Emirates National Oil Company’s (ENOC) takeover of Dragon Oil (LON:DGO) is almost a done deal after key minority shareholders Baillie Gifford and Elliott Capital agreed to accept an improved 800p per share offer.
It gives ENOC a sufficiently big stake to proceed with its plan to de-list the group’s remaining shares from the stock exchange.
BP (LON:BP) appears set to invest around US$1bn into the Eastern Trough Area project, in the North Sea, which will see key infrastructure renewed until at least 2030.The oil major’s decision is a boost for the North Sea in general as well as the UK government specifically as it was reportedly influenced directly by changes to the tax regime.
Genel Energy (LON:GENL) shares gave back some of the recent gains as its interim results gave a reality check to speculators that may have thought Kurdistan’s promise of regular oil payments would be a quick fix.
Genel told investors that operations in Kurdistan remain safe and secure, and it repeated guidance for oil production in the order of 90,000 to 100,000 barrels per day (BPd) for 2015. This reassurance comes amid ongoing fighting in the region against ISIS and as conflicts between Turkey and the PKK, a Kurdish militia, recently reignited.
The Iraq-based oil firm chaired by Tony Hayward expects full year revenue will amount to US$350mln to US$400mln, assuming a US$50 Brent oil price, though for many investors the key issue of outstanding payments remains.
Soco International (LON:SIA) revealed that ‘first oil’ production from the H5 project, offshore Vietnam, is now expected imminently. Due mid-August the project may be online as much as two months ahead of the original target, which was pencilled in by the company as September-October.
The oil and gas company has also lifted its full year production guidance to 11,000 to 12,000 barrels oil equivalent per day (boepd), though it says the ‘high end’ of the forecast is subject to well performance as H5 comes online.
Nigeria focussed Eland Oil & Gas (LON:ELA) revealed that the Opuama field, in Nigeria, was operational for around 81% of the first half of 2015 and the majority of downtime was the result of planned maintenance.
Average production, based on operating days only, amounted to 2,750 barrels oil equivalent gross: which equates to 1,238 bopd net to Elcrest Exploration and Production, Eland’s joint venture company.
The company told investors that work on the Opuama-5 well has now completed successfully, and the early indications are that the re-perforated well will see a positive result, with gross production of 400-600 bopd anticipated.
Petroceltic (LON:PCI) will turn back to the bond market in September, according to chief executive Brian O’Cathain. The Irish oil and gas firm yesterday revealed that a proposed US$175mln bond issue had been put on hold due in part to what it called “volatile market conditions”.
Speaking with Proactive Investors O’Cathain stressed that the delay was, however, temporary and that the company would return to the bond market once it restructured the company’s holding of a 38.25% stake in the flagship Ain Tsila gas field.
The stake will subsequently be held within a new subsidiary: Petroceltic Ain Tsila Limited.